Tag: final pay

Question: We had an employee walk off the job after admitting that she was stealing money and property from the workplace. She has not returned to pick up her last paycheck. What is our obligation regarding her last paycheck? Answer: Regardless of the theft, you cannot withhold pay from a current or terminated employee. You…

Question: Must a Michigan company that awards additional bonus days for perfect attendance pay that unused award balance to terminating employees at termination? Answer: Based on the Michigan wage and hour laws as they apply to paying out fringe benefits, if your policy has a pay-out provision for unused time, you would most likely need…

Question: If an exempt employee gives a two week resignation notice, do we have to honor it or can we separate early without compensating the employee for the two weeks? Answer: An employer may accept the employee’s voluntary resignation, or release the employee in advance of the stated resignation date, or in extreme situations determine…

Question: On the day we terminated a California employee, he still had unreimbursed business expenses pending. Do we need to immediately reimburse him or can he be paid on our normal expense reimbursement cycle? Answer: Unlike final paychecks under California rules, you may process the expense reimbursements according to your company’s customary reimbursement schedule. Employees…

Question: How should we proceed if an employee recently passed away and both his wife and girlfriend are demanding the final pay? The employee was in the process of divorcing his wife and his girlfriend has custody of the children. Answer: When an employee dies, you have to contend with the legal issue of who would…